Small Business Today Magazine MAR 2015 IMPACT STONE DESIGN | Page 18

EDITORIALFEATURE Doing Business with the Israelis                       By Ludmila (Mila) Rusakova Golovine I srael is one of the most interesting countries on Earth.  Like the United States, Israel is an ethnic melting pot of cultures, religions, and immigrants.  Despite its small size and population, Israel is considered the superpower of the Middle East due to its rapidly growing and widely diversified economy, its stable democracy, and its impressive military force.  In 2013, Israel was rated 19th among 187 countries by the United Nations’ Human Development Index classifying it as a highly developed country. This rating is well deserved.  According to a study conducted by the Taub Center for Social Policy Studies, the United States Patent and Trademark Office has approved more patents to Israeli inventors than to any other nation of the G-7 countries! Not only is Israel a top diamond exporter, it is also considered the most advanced in diamond polishing.  Israeli technology is used in the international diamond industry’s cutting, bruting, and automatic polishing machines as well as computer-aided design systems.  In the last 18 years, the number of boutique wineries in Israel has leapt exponentially from seven to nearly 300. The quality of these new wines is attracting the world’s top connoisseurs.  .  in ICT technologies, safety and security equipment and services, renewable energy technologies, defense equipment, medical technologies, and biotechnology products.  Power generation and education/training also represent good opportunities.  Road technology and infrastructure projects could offer millions of dollars’ worth of export opportunities for U.S. firms over the next five years, especially since Israel adopted U.S. standards in intelligent transportation systems.  In 1985, Israel became the first country ever to conclude a Free Trade Agreement (FTA) with the United States.  With the exception of agricultural products, the United States-Israel FTA has eliminated nearly all tariffs on trade and administrative import licensing requirements between the two countries.  Thanks in large part to the FTA, U.S. companies exported billions of dollars worth of goods and services to Israel, making Israel the largest U.S. export market in the Middle East.  All of these factors make Israel an excellent place to invest and do business. In terms of language, English is widely spoken in the business community and in government offices, but knowing and using a few Hebrew Science and Technology in Israel is one of the words, especially introductory phrases and country’s most developed sectors.  The percent- greetings, can be useful.  Hebrew and Arabic age of Israelis engaged in scientific and technologi- are the two official languages of Israel.  English cal inquiry and the amount spent on research and is the third and principal international language development (R&D) in relation to gross domestic and Russian is also prevalent.  Most Israelis are product (GDP) is the second highest in the world.  multilingual. Israeli scientists have contributed to the advancement of agriculture, computer sciences, electronIsrael’s business environment has no particics, genetics, health care, optics, solar energy, and ular business protocols.  It mainly follows U.S. various fields of engineering.  Israel is home to style conventions, making most U.S. businessmajor players in the hi-tech industry, has one of people feel very comfortable in doing business the world’s most technologically-literate popula- there.  American business travelers will find tions in  the country, and has a software industry business dress in both the public and private second only to California’s Silicon Valley. sectors to be much less formal than in the U.S., although